Report says Department of Defense May Consider US Auto Industry 'Irrelevant' to National Security;

Honda and Toyota may become full-fledged American companies; RAF No. 617

Squadron 'Dam Buster' Raid of 60 years ago noted

Jun 09, 2003, 01:00 ET from eMOTION!

    DETROIT, June 9 /PRNewswire/ -- eMOTION!
 ( an automotive and aerospace industries research and
 analysis site targeting professionals within the academic, media, corporate
 and government sectors, has just gone live with a potentially provocative
 analysis sure to garner responses from all concerned.
     The analysis "Super-Globalism: Strategies For Maintaining a Robust
 Industrial Base Through Technological, Policy and Process Improvement," is
 rich in content and blunt in assessment.
     "'Super-Globalism' makes no pretense about being balanced and fair," says
 Publisher Myron D. Stokes.  "It is simply a presentation of the facts,
 assessments, conclusions and analyses as we understand them to be, and it
 concerns the two largest industries in the world, automotive and aerospace.
 What we make clear, hopefully, is that the US is in an economic war.  And
 unfortunately, one that it's losing at the hands of European and Asian
 counterparts.  Specifically, Toyota, Honda, and AIRBUS Industrie.  These three
 are poised for leadership.
     "The industries most affected by this war are the two most important
 sectors in the world, and controlled almost since their inception a century
 ago by US-based firms, namely General Motors, Ford, Chrysler and Boeing."
     Stokes, a former Newsweek, Newsweek International and Newsweek Japan
 industry correspondent, says the analysis makes six main points:
      1. That US companies plot global strategies based on assumption of
         political and economic stability within a given region or hemisphere.
         If a country destabilizes -- thus endangering personnel -- the
         President is expected to "send in the Marines."
      2. That some of these same companies do not see themselves as being part
         of the national security mechanism.
      3. That Wall Street should be taken to task for allowing so-called
         "market forces" to artificially depress the share value of Ford Motor
         Company, thus rendering it vulnerable to take over.
      4. That the Department of Defense, according to sources, considers the
         US auto industry "irrelevant" owing to administrative apathy, steadily
         eroding marketshare and the continuous movement of manufacturing
         operations off-shore.
      5. Possible conclusions by the DoD, again according to sources, that
         Japanese corporations -- Toyota and Honda in particular -- doing
         business here seem to be more cognizant of the need to sustain the US
         industrial base than GM or Ford.
      6. That the DoD is already taking steps to assign Toyota and Honda status
         as full-fledged components of the country's industrial base through
         perhaps a quasi-Americanization arrangement.  Effectively making them
         part of a new industrial core.
     According to Dennis Virag, President of The Automotive Consulting Group
 ( in Ann Arbor, Michigan, a firm responsible for key
 production and financial data (Automotive Supplier Business Performance
 Trends: Lessons to Be Learned) contained within the report, GM and Ford
 "...Have dictated that at least 10 percent of their production would come from
 China-based manufacturing facilities."  It should strike them as odd, he
 notes, "that neither Toyota or Honda are following suit, and instead are
 concentrating on boosting production here."
     A USSR-like Disintegration?
     Pentagon consultant and Futurist Dr. Sheila Ronis, President of the
 Birmingham, Michigan, based University Group, and whose paper "Total Lifecycle
 Management: A Different Approach to War" was presented in the May issue of the
 Society of Manufacturing Engineers (SME) magazine Manufacturing Engineering,
 spoke recently at their annual conference in Detroit.  She recalls a National
 Defense University/Pentagon presentation in 1997 wherein she warned that the
 former Soviet Union's economic and industrial meltdown should be viewed as a
 lesson learned.  "Lacking economic security or a viable market based economy,
 the USSR disintegrated.  It disintegrated rapidly, broadly, and precipitously.
 That disintegration created a new world order in which concern about regional
 challenges to national security replaced the global threats and
 counterbalances of the Cold War. ... Two questions, however, continue to nag
 at economic and national security planners despite the reduced tensions,
 advances in human rights and stability in many of the world's economies:
 Why did almost no one in the West foresee the Soviet Disintegration, and could
 similar chaos descend upon the United States by 2010 or 2015?"
     Adding to the spectre of a possible reversal of fortune for the US as the
 reigning economic (and military) power, Stokes says, "Recent reports indicate
 that Toyota is now not only capable of acquiring GM, but Ford and
 DaimlerChrysler simultaneously. This appears to be a logical follow-on to an
 analysis presented by eMOTION! last year, "Hyperintelligence" that
 discussed in detail Toyota's astounding intelligence gathering and system wide
 learning capability.
     Covert Operation?
     "In this vein, 'Super-Globalism' delves again into the realm of the covert
 through its discussion of data acquired 12 years ago outlining the tremendous
 technological lead held by Japan in the auto industry," said Stokes.  "A
 tape -- apparently acquired directly from MITI offices -- containing several
 highly advanced engineering features, production ready, not prototypical, mind
 you, was presented as requested by its acquirers to GM, Ford and Chrysler
 representatives in 1991.  Anyone doubting the validity of this report need
 look no further than Lexus RX-330 and Toyota's currently available hybrid
     A Nod to The Dam Busters and The GM President Who Became a 3-Star
     Amidst the report's analytical processes, it manages to weave in a brief
 and relevant discussion of the genius of British Prof. Dr. Barnes Wallis,
 inventor of the famed "Upkeep" spinning bomb that decimated the Moehne and
 Eder dams in the Ruhr industrial valley 60 years ago this month.  Expertly
 piloted by the hand-picked crews of RAF No. 617 Squadron led by Wing Commander
 Guy Gibson, their Avro Lancaster bombers flew into history, the hearts of
 their countrymen and sparked imaginations everywhere.
     There is also a historical review of former GM President (1937-40) William
 S. Knudsen, who accepted the offer of President Franklin Roosevelt to lead the
 country's industrial transformation for war.  This was in the aftermath of
 Knudsen's interaction with Luftwaffe Chief Hermann Goering in 1938.  This
 proved to be a pivotal point -- really -- in the annals of history.
     Federal Programs
     Stokes says that the analysis is not only presented on the site, but a PDF
 file of the document in its entirety can be downloaded.  Further, it talks
 about Federal resources being brought to bear, such as the National Lab
 system, to shore up the technological edge of US firms.  Additionally,
 programs that are demonstrative of "out-of-the-box" thinking by Federal
 agencies such as the US Air Force' CAMAA (Commercial Application of Military
 Airlift Aircraft) program are discussed.
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